Little feet Shoe Company just paid a dividend of $1.65 on its common stock. - 4440

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Request Description

Little feet Shoe Company just paid a dividend of $1.65 on its common stock. This company’s dividends are expected to grow at a constant rate of 3% indefinitely. If the required rate of return on this stock is 11%, compute the current value per share of this stock. 

a. $15 

b. $20.63 

c. $21.25 

d. $55 

Solution Description

Little feet Shoe Company just paid a dividend of $1.65